Exposing Corruption: How the Attorney General’s Office and Treasury Officials Are Siphoning Millions from Government Suppliers
In what appears to be a deeply entrenched corruption syndicate, Eswatini’s Attorney General (AG) Sifiso Khumalo, Assistant AG Mbuso Simelane, and several government lawyers have allegedly manipulated the country’s financial system to extort millions from desperate government suppliers. Some businesses have been owed for over five years, with payments deliberately delayed to force suppliers into a corrupt cycle of bribery.
A System Designed for Corruption
A high-level investigation has uncovered that lawyers from the Office of the AG are colluding with accountants in the Treasury Department to deliberately stall payments, particularly those worth millions. This forces desperate suppliers to engage lawyers, thereby placing them at the mercy of AG Sifiso Khumalo and his alleged network of corrupt government officials.
The scheme is as follows: once a supplier serves a letter of demand or files court papers demanding payment, the AG or government lawyers wield their power to recommend payment or suggest out-of-court settlements. At this stage, suppliers are allegedly coerced into paying bribes to secure the release of funds rightfully owed to them. This has led to the destruction of many local businesses, which simply cannot survive the lengthy and corrupt process.
A High-Profile Victim: Cyphertech Group
One such case involves Cyphertech Group, a technology firm owned by businessman Mxolisi Dlamini. The company, which provided services to the government, is owed a staggering R56 million. Due to non-payment, the company is now teetering on the brink of collapse.
Electronic records from the Treasury Department confirm that in 2021, a partial payment of R28,995,174.95 was scheduled for transfer but was reversed at the last minute. This reversal is suspected to have been ordered by the ‘10% syndicate’—a reference to the bribe percentage allegedly demanded by AG office lawyers before authorizing any payment.
Political Links and Power Plays
Interestingly, Cyphertech Group was previously linked to Prince Vumile, the former CEO of the Royal Science and Technology Park (RSTP). The company allegedly benefited from preferential tender awards during Vumile’s tenure. However, instead of investigating the legitimacy of those deals, the AG’s office allegedly leveraged this history to justify withholding payments—unless a bribe was paid.
This stands in stark contrast to the treatment of SwaziPharm, a company owned by Kareem Ashraff. SwaziPharm received billions in government contracts, despite allegations of fraud and corruption. The AG’s office did not intervene to stop those payments, raising serious questions about selective enforcement and systemic corruption within the highest levels of government.
Threats and Intimidation
As businesses continue to suffer, some have attempted to fight back. Last week, representatives from the Federation of Eswatini Business Community (FESBC), led by Head of Business Transformation Mavela Sigwane, met with ICT Principal Secretary (PS) Phesheya Dube to discuss Cyphertech’s case. This resulted in Assistant AG Mbuso Simelane issuing a formal warning to Sigwane, accusing him of unlawful interference.
A letter dated February 6, 2025, from Simelane to Sigwane, warns him against contacting the ICT PS and threatens legal action for allegedly practicing law without a license. This move is widely seen as an intimidation tactic meant to silence those exposing corruption.
The Devastating Impact on SMEs
Sources close to the matter confirm that government officials, particularly within the Treasury Department, have institutionalized bribery, making it almost impossible for SMEs to receive payments without offering kickbacks. This has resulted in the closure of multiple businesses, as local entrepreneurs are squeezed out of their own economy.
“It’s now difficult to run a company in this country. Even when you win a tender, getting paid is a mountain to climb. You will pay the 10% bribe until you are left with nothing,” said a source familiar with the operations of the AG’s office.
While Eswatini’s government remains tight-lipped, FESBC has urged more affected businesses to come forward. Sigwane emphasized that corruption is strangling indigenous enterprises and has called for urgent intervention.
“It is disturbing to see how SMMEs are treated. It’s not our government doing this, but individuals in positions of authority. More businesses are being deliberately collapsed by these corrupt officials who delay payments while demanding bribes,” he said.
The federation is currently gathering evidence to take legal action and expose the rot that has infiltrated the country’s financial system.
Silence from Government
Despite repeated requests for a comment, Government Spokesperson Alpheous Nxumalo declined to address the allegations. Businessman Mxolisi Dlamini, the owner of Cyphertech, was also unreachable for comment.
The Bigger Picture
Eswatini’s economic future remains in jeopardy as long as corruption continues to plague key government institutions. With billions lost to fraud, bribery, and extortion, legitimate businesses are forced into bankruptcy while a privileged few continue to enrich themselves at the expense of the nation.
The question remains: will Eswatini’s leadership take action, or will they continue to turn a blind eye while the economy crumbles under the weight of systemic corruption?
